Purchasing or selling property is often regarded as one of the biggest events that can happen to an Australian in their lifetime. Indeed, gaining ownership of a new home or selling one to another person is one aspect of it, which is full of excitement. However, the procedures in between can be rather intimidating. This is referred to as the conveyancing process.
It is often underestimated just how many details are involved in a real estate transaction until one is in the midst of the experience. The stress of seeing that all the details come together can lead to sleepless nights, but it does not have to be that way. It can be accomplished through a strategic approach and attention to the right details.
Assess Your Financial Readiness First
Even before you sign a contract for sale, you should have a very clear idea of your financial position. When property is transferred, there is far more at stake than simply the price of transfer. There are many other charges that must be met that may come as a shock to buyers and sellers alike. There are transfer charges, charges for registering a mortgage, as well as adjustments for council rates and water rates. Of course, there’s also stamp duty, which changes from state to state.
You should have a word with your bank or mortgage broker well ahead of time to make sure the finance approval is unconditional prior to the deadline. When it comes to the sale of the property, it is vital to know the exact amount required to pay off the outstanding mortgage on the property. It is guaranteed to be stressful to realise the financial problem just before the settlement.
Involve the Proper Professionals
Although the tendency may be to cut costs by being responsible for the paper work yourself, the law in relation to property is complex, with no room for error. Retaining the services of a professional is probably the best means of minimising stress. For most, this will probably involve engaging the services of professional conveyancers in Brisbane or a solicitor who is experienced in the area of property law.
A good conveyancer will carry out most of the heavy lifting for you. They will check over the Section 32 statement, draft and sign the contract of sale, and deal with the other side’s representatives. They will also check that all other legal requirements are satisfied, such as whether there are easements or caveats recorded over the title that affect your use of the land. Knowing that someone with more experience is watching over critical dates and details will enable you to worry about moving your furniture instead.
Master Your Documentation
The amount of paperwork that is involved in a property sale is quite significant. Right from the identity verification papers to loans and insurance, all the paperwork is very important. If you misplace one paper, it may cause a delay that can postpone your settlement date and incur additional expenses of penalty interest charges or removal problems.
Implement a record-keeping system from the first day. Make a folder where you can store all the documents associated with the buying or selling of the home. File the documents the moment you get them or the moment you sign them. Make it a point to keep a copy of all the correspondence between you and your agent, and you and your conveyancer. This will help you sort out any problems that might arise or any details that you might have missed.
Plan and Organise Efforts
Although it may seem self-evident, planning ahead can often be the first item to fall by the wayside when things get busy. The transfer of a property can be a deadline-bound process, and it is important to work backwards from the settlement date. Set a timeline with all the important milestones for you, such as dates for finance approval, building and pest inspections, and the pre-settlement inspection.
This extends to the physical move as well. By booking removal professionals weeks, or even months, in advance, you can rest assured that you will get a spot that you want. If you are purchasing, you will need to organise building insurance coverage to take effect from either the signing of the contract or from when ownership passes, depending on what the specific state legislation says.
A Smoother Path to Settlement
The process of transfer of property ownership is a long marathon that requires patience and meticulous planning. With proper planning of finance s prior to the process, the help of a good legal team, organising your papers in the right manner, and planning your timelines proactively in advance, you can rid yourself of a great deal of tension typically involved in the process of settlement. You can then look forward to the new phase of your life in your new property!
